USD/RUB tumbles to 4-week lows near 74.80 post-CBR

The Russian ruble extends the upside momentum and drags USD/RUB to fresh multi-week lows in the sub-75.00 area on Friday. USD/RUB weaker on hawkish CB  |  23/04/2021 12:41
  • USD/RUB loses further ground and breaks below 75.00.
  • The Russian central bank (CBR) hiked rates by 50 bps.
  • The CBR said inflationary pressures remain high.

The Russian ruble extends the upside momentum and drags USD/RUB to fresh multi-week lows in the sub-75.00 area on Friday.

USD/RUB weaker on hawkish CBR

USD/USD trades on the defensive for the third consecutive session at the end of the week. Spot saw its decline accelerated on Friday after the CBR surprised markets and hiked the key policy rate more than expected by 50 bps to 5.00%.

According to the central bank, the move was justified by the unabated inflationary pressures along with the steady pace of the recovery in the domestic demand, which is seen challenging the capacity of certain sectors.

Furthermore, the CBR left the door open to extra hikes in the next meetings, confirming its shift to a more aggressive stance to bring inflation to levels in line with the bank’s goal.

USD/RUB levels to watch

At the moment the pair is losing 0.68% at 74.90 and a breach of 74.68 (100-day SMA) would aim for 72.53 (2021 low Mar.16) and finally 70.00 (psychological level). On the flip side, the next up barrier emerges at 77.29 (weekly high Apr.21) followed by 78.57 (2021 high Apr.6) and then 80.00 (psychological level).

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on FX
and other asset classes for Market Insight viewers

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com